Why would you want to streamline your real estate crowdfunding investments? For starters, you can save yourself a lot of time. Secondly, you can save yourself money. Streamlining is very important for doing both.
Seven Ways To Streamline Real Estate Crowdfunding Investments
1. Pick a platform — Platform hunting itself can be tedious. Plus, it’s time consuming and can spread your investments thin. Find one of two real estate crowdfunding (RECF) platforms that you like and commit yourself to maximize the performance of your investments on those platforms.
2. Establish your criteria early on — Successful RECF investors know what they want. They define the criteria for their investments and don’t change them too often. If you’re interested in commercial properties valued at above $1 billion, then commit to researching commercial properties until you find the ones that match your investment style and criteria. Don’t change your criteria every time you experience a bump in the road.
3. Utilize auto-invest features — Not all real estate crowdfunding platforms allow investors a means of setting their criteria and investing in those automatically. However, there are a few that do. Sharestates is one of them. Once you’ve established your investment criteria, set your auto- invest feature to find projects that meet those criteria. This will go a long way to saving you time and money on your RECF strategy.
4. Figure out a time for your RECF activities — Don’t be a set-and-forget investor. Set aside time each day to check in the platforms you are investing in, but make sure you do it at the same time everyday so it becomes a routine. Just a few minutes each day to ensure your RECF investments are where you want them to be will go a long way to streamlining your processes.
5. One niche at a time — If you focus your RECF investing on one niche, or two at the most, you won’t waste a lot of time looking for deals in other niches. If your thing is multi-family rental properties, then stick to that. It will save you time.
6. Never lower your standards — One way to ensure your real estate crowdfunding investments perform well is to set your standards and stick to them. If you want to invest only in properties with a 70% LTV, then don’t make exceptions. Determine whether or not a property matches your standards, and if it doesn’t, pass it by.
7. Perform due diligence the same way — That includes using the same tools and resources. If you change your routine too often, you’ll forget something.
Keep these tips in mind when you approach real estate crowdfunding. By streamlining your processes and your investment strategy, you’ll save time and money while making your investments more profitable.